ITALY June 26 2015 10:05 AM
ROME (Scrap Register): In Italy demand for hot rolled coil is subdued as a result of competition from very attractive third country offers. Despite disruptions to Ilva’s production, local basis numbers have declined, in June.

Hot rolled plate can be obtained within two weeks from local rerollers. Sales are slow. Overseas suppliers have cut their price offers to try and stimulate more orders. Internal overcapacity is depressing prices in the coated coil market. The performance of the vehicle manufacturers has progressed well. No recovery is envisaged in construction investment in the near term.

Very little business is being transacted in the wire rod market. Scrap costs have reduced and are placing negative pressure on steel selling figures. Meanwhile, purchasing activity is slow for rebar. The lack of building work persists. After agreeing to a scrap-related hike in May, customers have successfully negotiated a discount in June, now that the raw material is cheaper.